Dr. Gideon Boako Refutes Mahama’s Sinking Fund Claims. In his 2025 State of the Nation Address, Mahama claimed that the Debt Service Reserve Account, commonly known as the Sinking Fund, had only $64,000 and GHS 143 million. However, Dr. Boako argues that these figures are misleading and fail to account for significant financial inflows before the government transition.
Mahama’s Statement on the Sinking Fund
During the 2025 SONA, President Mahama highlighted the dire state of Ghana’s financial reserves, stating:
“While there have been claims that buffers were left for debt repayment, the statement of accounts for the Debt Service Reserve Account, also known as the Sinking Fund, shows a balance of only $64,000 and GHS 143 million in the dollar and Ghana cedi accounts, respectively.”
H.E John Dramani Mahama
Additionally, Mahama blamed Ghana’s economic difficulties on reckless borrowing and financial mismanagement by the previous New Patriotic Party (NPP) administration. He emphasized the need for fiscal discipline and tough economic reforms to restore stability.
Dr. Gideon Boako Denies Mahama’s Assertions on the Sinking Fund
Dr. Boako swiftly refuted Mahama’s claims, arguing that the figures presented were deliberately misleading. He outlined several key points:
The balance cited by Mahama only reflected the Sinking Fund’s status as of August 2024. This was right after the NPP government made its third payment to domestic bondholders.
Between August 2024 and January 2025, additional deposits were made into the account, which Mahama’s administration ignored.
By January 3, 2025, the Sinking Fund had an unspent balance of over GH¢700 million.
An additional GH¢3 billion in end-of-year revenue was left as a buffer, alongside other unspent government funds.
Dr. Boako accused the Mahama administration of selectively using outdated figures to create a false narrative.
“President Mahama cleverly refused to mention the date for the balance he was referring to. They are using the August 2024 balance while ignoring the additional build-ups that took place before they assumed office,”
Calls for Transparency
In response to Mahama’s claims, Dr. Boako urged the government to publish the actual Sinking Fund balance as of January 6, 2025, instead of relying on selective figures.
“Nothing stops the government from publishing evidence of the balances in the Sinking Fund accounts. Let’s approach governance from the standpoint of truth and avoid petty lies,”
Dr. Gideon Boako
This challenge raises critical questions about financial transparency and the integrity of official government reports.
Political and Economic Implications
The debate over Ghana’s debt and financial reserves is not just a political battle. it has serious economic consequences: • Mahama’s Position: His administration maintains that Ghana’s financial state is dire, with overwhelming liabilities and minimal buffers for debt repayment. • NPP’s Position: The previous government insists that it put adequate measures in place before leaving office and demands full transparency from the Mahama-led administration.
With public trust and investor confidence at stake, stakeholders—including financial analysts, opposition parties, and international observers—are calling for independent audits to verify Ghana’s true financial position.
